Business
Metros Where Falling Mortgage Rates Could Spark the Most Change: New Report from Realtor.com®
Washington D.C.; Denver, CO.; Virginia Beach, Va.; Raleigh, N.C.; and Seattle, Wash.; lead the top 5 metros with the highest share of mortgaged homeowners
About this update from News Corporation
[{"type":"text","content":"Washington D.C.; Denver, CO.; Virginia Beach, Va.; Raleigh, N.C.; and Seattle, Wash.; lead the top 5 metros with the highest share of mortgaged homeowners\nAUSTIN, Texas, Sept. 25, 2025 /PRNewswire/ -- As mortgage rates drift into the low 6% range following the Federal Reserve's recent rate cut, a new Realtor.com® report found that metros with younger, more mobile populations, such as Washington D.C., Denver, CO., Raleigh N.C. and Virginia Beach, Va. stand to benefit the most from consistently lower mortgage rates. According to our analysis, 81% of existing mortgages have a rate of 6% or lower. In other words, as mortgage rates approach the 6% level, we can expect to see more homeowners \"unlocked,\" especially in areas with high mortgage usage.\n\nThe report finds that Washington, D.C. (73.6%), Denver (72.9%), Virginia Beach (70.7%) and Raleigh (70.7%) lead the nation with the largest share of mortgaged households, making them the most likely to see buyer demand accelerate as financing conditions improve. By contrast, Miami (44.8%), Buffalo (44.2%) and Pittsburgh (44.2%) rank among the least mortgage-reliant metros, suggesting their housing markets may be slower to respond to falling rates.\n\"Falling mortgage rates open doors for many would-be buyers and sellers, but where you live determines how much the market shifts in response to the opportunity,\" said Danielle Hale, Chief Economist at Realtor.com®. \"In markets like Denver or Washington, D.C., where most owners are still paying off their mortgages, lower rates are more likely to spark renewed activity. Meanwhile, metros with older populations and more outright owners, like Buffalo or Miami, may see a lower market-level response, even though lower rates are a difference-maker for some individuals in these markets.\"\nAcross the 50 largest U.S. metros, the analysis shows wide variation in the role mortgages play. In Washington, D.C., nearly three-quarters of owned homes carry a mortgage, followed closely by Denver and Virginia Beach. These younger, more mobile housing markets are likely to see the fastest reacceleration in demand as borrowing costs decline. On the other end of the spectrum, metros such as Buffalo, Pittsburgh and Miami have the highest share of outright owners, driven by high concentration of older homeowners.\nTop 10 Metros with the Highest Share of Mortga...